Korea Electric Power Corporation has established a power supply facility plan for the Yongin semiconductor cluster, where a demand for 10 gigawatts (GW) of power is expected by 2050. KEPCO projected that an investment of 72.8 trillion won will be needed for the transmission and transformation facility plan by 2038.
KEPCO noted at the Electric Commission meeting held on the 27th that it has finalized the '11th long-term transmission and transformation facility plan.' This corresponds to the detailed long-term transmission and transformation facility plan effective for 15 years from 2024 to 2038, based on the power demand and generation facility forecasts outlined in the 11th basic power supply plan announced in February.
This plan includes the restructuring of the system for the efficient operation of the Honam to Seoul metropolitan area high voltage direct current (HVDC) transmission system included in the 10th long-term transmission and transformation facility plan, as well as the expansion of power supply infrastructure reflecting the power demand of national key strategic industries such as semiconductors.
For the Honam to Seoul metropolitan area HVDC, the completion plan has been changed from two 4 GW routes to four 2 GW routes (with phased completions in 2031, 2036, and 2038). This was taken into account considering the current level of voltage-type HVDC technology, the securing of converter station sites, and the supporting conditions of the back-end system.
For the Yongin semiconductor cluster, where a large-scale power demand of over 10 GW is expected, plans have been established for the construction of substations within the industrial complex and connections with the existing power grid. Additionally, the completion dates for the power network construction projects in Hanam and Dangjin, which face significant opposition from residents, will be adjusted.
This plan also includes the introduction of new technology facilities aimed at stabilizing the power system, such as flywheel synchronous compensators, energy storage devices, and integrated facilities for reactive power compensation.
KEPCO predicts that an investment of 72.8 trillion won will be required to promote this facility plan by 2038. This marks an increase of 16.3 trillion won (28.8%) compared to the 10th plan, which required 56.5 trillion won.
A KEPCO official explained, 'As material costs have risen due to the Russia-Ukraine war and the increase in underground transmission lines, the scale of investment in transmission and transformation facilities has also grown. Since the transmission and transformation facilities are essential for stable power supply, we plan to prioritize facility investment and expand it without delay.'
The KEPCO Management Research Institute projects that this facility plan could generate about 134 trillion won in production ripple effects and create approximately 480,000 jobs.
The power network facility plan requires tens of trillions won, but KEPCO's poor financial condition is a concern. As of the first quarter, KEPCO's total debt surpassed 200 trillion won. The annual interest burden is around 4 trillion won, and the cumulative operating deficit since 2021 amounts to 30.9 trillion won.